Telefónica, Vodafone U.K. Network Sharing Approved

By

Nick Clayton

Oct 2, 2012 5:56 am GMT

Agence France-Presse/Getty Images

Vodafone and O2 will be allowed to share networks in the U.K.

The sharing of the mobile networks belonging to Telefónica, branded “O2” in the U.K. and Vodafone can go ahead, the U.K. Office of Fair Trading and Ofcom regulator has ruled. The two telco giants will now create a 50-50 joint venture called “Cornerstone Telecommunications Infrastructure” (CTI), according to Total Telecom.

Using this shared infrastructure, Vodafone and Telefónica aim to provide indoor 2G, 3G and, subject to the outcome of Ofcom’s forthcoming spectrum auction, 4G coverage to 98% of the U.K. population by 2015—two years ahead of the telco regulator’s 2017 deadline. To achieve this, the companies will divide the country in half, with each one taking responsibility for the design, management and maintenance of radio equipment and local transmission networks in its designated regions.